How Can Xbox Stay Cool Among Smartphones, iPads?

Ian Sherr reports on how Microsoft, set to unveil its new Xbox on Tuesday, is trying to make gaming system cool and relevant in a world of smartphones and tablets.

This transcript has been automatically generated and may not be 100% accurate.

... I ... Microsoft's to read through the Xbox Tuesday while commit Digits I'm Simon Constable how can they make things like that one might spell the end of one exciting ... thing that Hamblin an age when she joins us now from Seattle when he's awake saying ... that unveiling of the new book's advice of the men in ... my pleasure ... so ... the Xbox has been around for awhile and in many forms ... what can we expect tomorrow how they can to keep it sexy ... well that that's actually really the big question I you know it's been eight years since the last Xbox ... I we now have had to Nintendo Wi EU which was very next-generation console it came out late last year in November and it did not do well in all ... aam actually they have to slash their estimates ... by a sunny sky with their PlayStation four which is their newest when they announce that February is coming out later this year ... to date there's a lot it's kind of coming up against Micra soft that this new Xbox ... and what they're you know they're gonna be doing a lot of the stuff that we expect this to me faster sexier bigger ... aam but the real question said that kind of new innovative things take until I if you remember taking out with the connect a motion sensor ... I waited to throw your hands around and speak added ended in it yet to get to play the game that way ... and I that I wanna bias ... but now the real question is how do they make it a real game changer and how do they help that you know that under the weather technologies do is ... put in there that make it really differ ... and and and and in fact the industry itself this despite what some people in the business I isn't doing the right package grain products and down ... twenty five percent April to April aam and the console the Marlins in the U S and consular online sales down twenty two percent ... and it's not just of the console rising by the console and I'm a look see you know great deal of the venue called ago By became so I'm a lot of the dance can be quite pricey sixty box ... and although the economy on the boat was a few years ago ... is still weak right and that ... was good to know that ... with its patented but the other part of it it's it's fair to mention that we aren't the Fiat the trough of what's considered that the console cycle ... so you know at the end of when Eastman nice tees its tail when we're kind of used on these games ... against Oakland where people are buying them any more games because hey there waiting for the new thing ... so the real question is what's the uptick in a lot like this to be some sort of of tech ... idea Nintendo sold three million we use between November and December ... of last year ... so the question is can Micra soft keep its momentum up ... and sunny tree gain momentum ... and can again in this theory that calm as big as it was you know who we're talking about back in two thousandseven that that that growth rates for spectacular ... am right now ... gets to be PricewaterhouseCoopers for example there are not expecting much of a bump at all and so the real question is you know how much can this industry grow we know this Congress on but ... you know that this new technologies and a half to grab more than the hardcore gamers which of course to Nevada to play the latest Call of Duty ... but when you need more you need more than the ... teenage boys in the placement on your feet ... on the console Sinosteel the we have five million in twenty twelve PS three ... aam PlayStation three an eight mile on the Xbox three sixty three point four million I knew right it's a it's the grow fangs ... and getting the house for thirteen point so aam the for the next post ... getting people to the tothe to upgrade and and continued to fly isn't playing games online the way to go to some of the group de main ... aam where you're playing not just against your brothers and sisters new local friends of people awful all the way ... but much of the spending a lot of things as has Sunday night yet they feared the China bolstered their social networks that they've been building ... Xbox costs of live play is funny cause of the PlayStation Network on you know the petite Nintendo added TB controls to their game system and there's ... been prototypes of Micra soft is love doing that so there's a lot of things that they're trying to do to make it work and to get those things and there's a lot of inspiration and tablets and smartphones aid again if you look at Nintendo the we you that they haven't touch screen control its literally controller melded with a touch tank ... if you look at Sony the PlayStation four at their new controller has a touch pad on ... so there's a lot of inspiration coming from what's really upending the market the smartphones and tablets down again it's un clear with Micra soft and into western taking out the thing called smart class which ... I'm basically allowed your smartphone or tablet to interact with the exports but didn't really allow you to play games ... so that now it's kind of what's going to the next ... town we await with bated breath and have been a bright news for us thank you very much in show we appreciate your time ... my pleasure ... and you can read more on this story on the list Datacom I'm Simon Constable and that was digits